factual

What is the recommendation regarding the Managing Owner's involvement in the operation of the Bigfoot Forestry Business?

Bigfoot_Forestry Franchise · 2025 FDD

Answer from 2025 FDD Document

Project Manager; and

  • (i) you fulfill all of your other preopening obligations under this Agreement and the Manual.

8. MANAGEMENT AND STAFFING.

8.1. Owner Participation. You must designate an Owner with primary responsibility for the management and operation of your Business (the "Managing Owner"). We strongly recommend, but do not require, that you adhere to an owner-operator model whereby the Managing Owner: (a) remains actively and personally involved with the operation of your Business on a full-time basis; and (b) travels to job sites for purposes of providing Bigfoot Forestry Services, managing projects and supervising Service Technicians (if any). However, we do permit you to hire a Project Manager in accordance with §8.2 to assume these responsibilities from the Managing Owner. Either the Managing Owner or a Project Manager be present at each job site for purposes of providing Bigfoot Forestry Services, managing the project and supervising Service Technicians. The Managing Owner must: (a) be approved by us; (b) successfully complete all training programs we require; (c) dedicate either (i) full-time efforts to the Business (if you adhere to an owner-operator model) or (ii) commercially reasonable efforts to the Business (if you hire a Project Manager); (d) at all times own

  • at least 20% of the Equity Interests in the Business or Franchisee Entity unless we waive this requirement; and (e) have binding decision-making authority on matters involving your Business. Your other Owners may be passive investors.
  • 8.2. Project Manager. If you do not adhere to an owner-operator model, you must hire a Person (a "Project Manager") to manage and supervise your Business. The Project Manager must: (a) remain actively and personally involved with the operation of your Business on a full-time basis; and (b) travel to job sites for purposes of providing Bigfoot Forestry Services, managing projects and supervising Service Technicians (if any). The Managing Owner must monitor and supervise the Project Manager to ensure your Business is operated in compliance with this Agreement and the Manual. Any Person you hire as a Project Manager must: (a) be approved by us; (b) satisfy all requirements in §8.3 for Service Technicians; (c) successfully complete all additional training programs we require for a Project Manager; (d) dedicate full-time efforts to your Business; and (e) sign a Confidentiality Agreement. If you own and operate more than three (3) Bigfoot Forestry Businesses, you must hire a Project Manager. The Managing Owner or Project Manager can manage a maximum of three (3) territories.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 32–33)

What This Means (2025 FDD)

According to Bigfoot Forestry's 2025 Franchise Disclosure Document, a franchisee must designate a Managing Owner who has primary responsibility for managing the business. Bigfoot Forestry strongly recommends that the Managing Owner remain actively and personally involved in the business on a full-time basis and travel to job sites to provide services, manage projects, and supervise service technicians. This is referred to as the owner-operator model. However, Bigfoot Forestry does permit the franchisee to hire a Project Manager to assume these responsibilities from the Managing Owner.

Whether the franchisee chooses to operate under the owner-operator model or hires a Project Manager, the Managing Owner must still be approved by Bigfoot Forestry, complete all required training programs, and own at least 20% of the equity interests in the business, unless this requirement is waived. The Managing Owner must also have binding decision-making authority on matters involving the business. If a Project Manager is hired, the Managing Owner must dedicate commercially reasonable efforts to the business, while full-time efforts are required under the owner-operator model.

If a franchisee does not adhere to the owner-operator model, they must hire a Project Manager who remains actively and personally involved with the business on a full-time basis and travels to job sites. The Managing Owner must monitor and supervise the Project Manager to ensure compliance with the Franchise Agreement and the Manual. The Managing Owner or Project Manager can manage a maximum of three territories. If the franchisee owns and operates more than three Bigfoot Forestry Businesses, they must hire a Project Manager.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.